6 of the BEST Stocks to BUY in AUgust 2026

Welcome back to another edition of the weekly investor playbook. Every week we're going to be answering three questions that I believe every investor should be asking. What's happening in the market? What should investors be watching over the coming week? And where are the best opportunities to put new money to work? And in today's video, I'm going to be covering six stocks that I believe are great buy opportunities heading into the month of August. So, before we jump in, do me a huge favor, smash that like button down below. Show your appreciation. And in the comment section, let's see how everyone is doing. Let me know what is your year-to-date performance through the first 7 months of the year. All right, with that being said, let's start with a quick market update. And despite some recent volatility, the broader market continues to show impressive resilience. In a week that started off really on rough footing, we actually ended the week in the green. And here's a look at the weekly performance dashboard. And as you could see, the S&P 500 climbed 1.05% this week, and it's up 9.4% on the year. The Nasdaq was up 1.6% on the week and up 9.2% on the year. And the Dow Jones turned in a positive performance of 1.04% up 9.2% on the year. But the biggest winner so far this year has been small caps with the Russell 2000 up slightly this week, but up 18% so far on the year. However, although things ended on a positive note, we want to dive a little deeper. Make sure we're not missing anything. On the week, consumer discretionary led the charge gaining more than 8%. A lot of that had to do with the strong earnings report and reaction we saw from Amazon, which I was happy about given that it's a top holding in my portfolio. Communication services also had a strong week up nearly 5 and 1/2%. However, seven of the 11 sectors inside the S&P 500 finished in the red with utilities and real estate bringing up the rear being two of the worst sectors. So, we're in the heart of earning season, and one thing has become very clear. The first half of 2026 was driven by AI excitement. The second half is being driven by AI execution. Companies that continue delivering strong earnings, raising guidance, and showing a clear return on their AI investments are being rewarded. Companies that disappoint are getting punished quickly. Personally, I think that's exactly what a healthy bull market should look like. But, the AI theme remains intact, and although we hit a little speed bump, and it won't be the last one that we do, this is a AI wave that I still believe can be ridden, and it's not too late. Now, heading into the coming week, there are a few things I'll be watching closely. First, earning season continues with several important technology consumer companies reporting results. I'll be paying close attention not just to the numbers, but to management commentary around AI spending, enterprise demand, and capital expenditures has been a big one. Big names reporting next week that I'll be watching closely include Palantir, Sterling Infrastructure, CAT, AMD, Arista Networks, Zscaler Global, Booking Holding. That'll give us insights into travel and the consumer. Eli Lilly and Uber are on Wednesday morning, SanDisk, Apple Lovin on Wednesday afternoon, Datadog and Celsius are on Thursday morning. Just a jam-packed week of more earnings reports that we'll be watching. If you're not yet part of my investing community, check out the link down in the description below, because we'll have a number of those earnings write-ups being sent out and posted inside our Discord next week to help you summarize each of these companies. Premium subs get access to my portfolio, option trades, and weekly market reports, and a new video deep dive series I'm just beginning. So, make sure you get signed up today. Also, next week we'll continue monitoring economic data, particularly anything related to inflation and the labor market as we get a key jobs report. Remember, strong economic data supports earnings growth, but it can also influence expectations for future interest rate decisions. So, those are definitely catalysts that can alter the market's direction next week. And with that being said, now let's get into today's topic covering six stocks to consider buying in the month of August. And after another strong earning season so far, we're beginning to see a clear separation between companies benefiting from AI and companies benefiting from infrastructure spending and companies simply executing at an elite level. Those that aren't, they are getting punished. Today, I'm going to be walking you through six stocks I believe offer some of the best risk reward opportunities heading into the month of August. This isn't about chasing hype, it's about identifying businesses, high-quality businesses that continue to grow revenues, expand earnings, generate free cash flow, and still have meaningful upside. So, let's begin with stock number one and it's a big one. That's going to be AMD. I continue to believe AMD is one of the best ways to participate in the expanding AI compute market. Looking here at the chart, we got a bit of a buy-the-dip opportunity as the stock topped out at 580 at the end of June and fell back down to 430 this past week, finding support right at that 38% fib line. We have a low RSI and a low curling MACD at the bottom, which is intriguing from a technical perspective. Now, a bit of a warning for you here. As we saw a few minutes ago, AMD is on the list to report earnings next week. So, you have to ask yourself, are you willing to take the risk beforehand knowing it will likely be a volatile event. Now, for me, I think we're going to get some great news and so maybe you could buy a little before and if it dips, you buy a little after. But demand for AI accelerators continue growing rapidly. While Nvidia remains the market leader, hyperscalers increasingly want more suppliers. AMD's Instinct platform continues improving and the company also benefits from one of the strongest data center CPU businesses in the industry today. To me, AMD isn't simply competing with Nvidia, it's benefiting from the overall expansion of AI infrastructure. There can be more than one winner as we're starting to see. Taking a look inside of our proprietary Stock Investor's Edge valuation website, we can see that shares of AMD receive an Edge score of 66, which I tend to like scores above 70 and I think valuation is actually a little more intriguing to me, but we'll get that update this week. In terms of analysts, they give the stock an average 12-month price target of 575, implying more than 20% upside from current levels. But for me, I'm a bit more optimistic. I believe that this is a stock that could surpass $600 a share by the end of 2026. So, take a good hard look at AMD, but don't forget about the earnings this week. And before we jump to stock number two, let me thank today's video sponsor, which is Kalshi. Kalshi has taken the prediction market by storm in 2026. And if you're unaware, Kalshi is the first CFTC regulated US exchange to offer prediction trades, also known as perps. Unlike things like options, perps do not have expiration dates. And looking here at the app, you can see trades that can be made on sports politics crypto economics and of course, stocks. So, let's look at the trade here since it's stock related. And we could see trades that end based on prediction of an ending price tomorrow or the end of the year, like you can see here. 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One thing we saw from the hyperscalers this past week in their earnings report was the fact that AI spending is not slowing. In fact, budgets are being increased for this year, and estimates for next year, well, those are going to go even higher. This plays right into the hands of Credo Technology. On the year, shares of Credo are up roughly 40%, but like you can also see on the chart is the fact that it's been a volatile ride for investors. Since topping out on June 22nd, shares of Credo have pulled back more than 30%, giving investors a much more intriguing entry point now. In terms of technicals, I like what I'm seeing. A stock finding support around its 200-day moving average, a low RSI, and combine that with a curling MACD, all bullish points in my book. Now, looking back at the Stock Investor's Edge valuation site, we can see that Credo shares get an Edge Score of 76, which is very intriguing. And look at that future growth score. In terms of analysts, they give the stock an average 12-month price target of $274, implying more than 30% upside from current levels. And again, if you want to try out the Edge site yourself, make sure you check out the link down in the description below. But the last point on Credo, as AI clusters continue becoming larger and more complex, I believe networking remains one of the biggest long-term investment opportunities within the AI ecosystem. It's no secret that the AI data center buildout is in full force. All right, with that being said, now let's move on to stock number three, which is a stock I recently added to my position in, and that's Broadcom, stock ticker AVGO. Broadcom continues to be one of my favorite and highest-conviction AI investments. The company benefits from multiple trends simultaneously, custom AI chips, networking infrastructure and partnerships with some of the largest hyperscalers in the world. Rather than depending on one customer or one product, Broadcom benefits from the entire AI infrastructure buildout. It's much more diversified than many regular chip or even large chip companies. And if you have seen my portfolio inside my investing community, you know I love diversified companies, especially when you look at the top of my portfolio and you see the likes of Alphabet and Amazon, both of them very diversified. That's exactly why I continue liking this particular stock. And on the year, shares are up roughly 12% slightly outpacing the S&P 500. But since topping out in early June, shares have pulled back roughly 20% again giving us investors a better entry point. This is why during these pullbacks that we see, it's important not to freak out like the rest of the market. There is plenty of fear-mongering that's being thrown at you from CNBC, Yahoo Finance, you name it. But the best investors that can see the forest through the trees and buy into a sea of red, those are they're going to be the most successful investors. In terms of technicals, Broadcom has been consolidating right around the 200-day moving average, implying it is ready for a possible breakout higher. The MACD and RSI both starting to also trend higher. And looking back at our Stock Investor's Edge valuation site, we can see shares of Broadcom get an Edge score of 78, which is quite strong. And again, you can toggle the waiting for what you believe is more important to you. But in terms of analysts, they give the stock an average 12-month price target of roughly $500, implying nearly 30% upside from current levels. Broadcom continues to be a mission-critical AI play in my opinion, especially as the likes of Alphabet, Amazon, Meta, OpenAI are all building their own custom AI chips with the help of Broadcom. All right, we're halfway through our list. And if you haven't done so yet, show your appreciation by smashing that like button. It really helps with the growth of the channel. And with that being said, stock number four is going to be out of the industrial sector, but it's still a play on the growth of AI. And that stock is going to be Sterling Infrastructure, stock ticker STRL. We've talked about AI budgets and how they continue to increase. And a lot of those budgets are going towards the build out of data centers. Data centers don't build themselves. Before AI servers ever come online, someone has to prepare the sites, build the roads, the utilities, and supporting infrastructure around it. Sterling is increasingly benefiting from that demand. It's one of those companies that investors often overlook because it's not directly involved with AI chips. I talked about it in a recent AI video I put out a few weeks ago. But this past week the stock dropped in a big way and on no news, purely related to fear in the market. Now, smart investors scooped it up on the drop, but it's still quite low off those highs. As you can see here, on the year shares of Sterling are up more than 80% However, since the stock topped in early June, shares have pulled back roughly 40%. So, it's been a volatile stock, uncommon for an industrial company. And in terms of the technicals, I'm loving this chart here. We have a gap fill from the May pop we saw. And look at where the stock found support, right at the key 200-day moving average. Which also we now have a low RSI and a MACD that's also ready to pop higher. I may add this stock next week. Looking back at the Stock Investor's Edge Valuation site, we can see shares of Sterling get an edge score of 74, which again is quite strong. I love seeing those scores above 70. In terms of analysts, they give the stock an average 12-month price target of roughly $715 per share, implying roughly 20% upside from current levels. But there is an ultra bullish analyst with a price target high of 950. Sterling is a key industrial play on AI and without infrastructure, none of this expansion happens. Now, let's move away from AI and finish with two companies that operate in the financial space. Beginning with stock number five, which is one I like a lot and that's SoFi Technologies, stock ticker SOFI. This remains one of my favorite long-term fintech investments. Volatile, yes. Big upside, also yes. The company continues evolving a complete financial ecosystem. Banking, investing, loans, credit cards, retirement accounts. Each new product deepens customer relationships and it increases the lifetime value as well. So, not only do they have more products, but the customer base also continues to climb higher. Taking a look here, prior to the pandemic, SoFi had less than 1 million members. Today, that number is north of 15 million. The company last week issued their latest Q2 earnings and the stock fell off, but I believe investors were far too nearsighted as the growth story remains fully intact moving forward for years to come. On the year, shares are down roughly 40% and remains what I believe misunderstood. But again, as I tell investors inside my community, this is what I like to call the accumulation phase. Because I truly believe this is a $20 stock sooner rather than later. And looking at the chart from a technical standpoint, not a great looking chart, but it is finding support around that $15 price point when the price does fall. But, we need to get those moving averages moving in the right direction again. From the edge scoring model, it's not as upbeat as I am as it gives an edge score of 58 questioning both valuation and financial health of the company. I know there's plenty of risk that come with this stock, but analysts though, they remain upbeat giving the stock an average 12-month price target of $21 per share implying more than 30% upside from current levels. As profitability continues improving and membership keeps growing, I believe SoFi still has a long runway of growth ahead of it. And now for our final stock on the list, which is going to be Capital One, stock ticker COF. Like SoFi, Capital One also recently reported earnings and I thought they were very solid. Following its acquisition of Discover, Capital One has significantly expanded its payment ecosystem. But what excites me most is the long-term synergies with this acquisition. And the company alluded to this on its latest conference call. As management mentioned 2.5 billion in synergies related to that Discover acquisition, which they should be fully integrated by the second half of 2027, speaking of those synergies. With Capital One and Discover, the combined business has the potential to become much more vertically integrated, improving efficiency and expanding the company's earnings power over time. Capital One also continues generating strong free cash flow while trading at what I believe is an intriguing valuation. On the year, shares of COF are down roughly 15%. However, they're up nearly 20% since bottoming at the end of Q1. So, we're starting to find some momentum. In terms of technicals, we are just starting to see the stock retake its 200-day moving average, which is that red line you see on your screen there. And also recently, we saw the 50-day cross above in a bullish manner the 100-day moving average. So, we're starting to move in a positive direction. But, looking back at the Stock Investor's Edge valuation site, we can see COF gets an Edge score of 71, which is solid and valuation and financial health are the leading scores. In terms of analysts, they are upbeat, giving the stock an average 12-month price target of roughly $255 per share, implying roughly 25% upside from current levels. When I take a step back and look across today's market, a few themes continue to stand out. The consumer remains resilient and AI, it isn't slowing down. In fact, it's expanding. And that creates opportunities far beyond companies making headlines, whether it's AI chips, networking connectivity infrastructure, or financial companies benefiting from the long-term digital trends. I continue focusing on businesses capable of compounding earnings over the next 5 to 10 years. That's exactly why AMD, Credo, Broadcom, Sterling, SoFi, and Capital One remain among my favorite ideas heading into the month of August. In the comment section down below, let me know which name do you like most that we covered on today's list. Also, be sure to join my private investing community and Discord using that link in the description below. And with that being said, thanks again for watching and we'll see you in the next one. Take care. >> [music]